Morocco Remains on EU’s Tax Haven Gray List Despite Economic Reforms

Morocco, a country that cooperates with the European Union in implementing its commitments, is kept on the EU’s gray list of tax havens. The reason is that the kingdom’s procedures do not yet meet the EU’s requirements.

There is the tax regime of Casablanca Finance City (CFC) which is still not compliant with the new European standards. The process would still be under consideration. According to the Ministry of Economy, Finance and Public Administration Reform, "with the expected confirmation from the OECD, the kingdom will have fulfilled all its commitments, aimed at bringing its tax system into line with the new standards, while preserving its national interests".

According to the ministry, the EU has taken note of the efforts and reforms undertaken by the kingdom to bring it into compliance with the new tax standards and considers that the tax provisions governing the export sector and the industrial acceleration zones (IAZs) are now in line with the required standards.

For several years, Morocco has been striving to reconcile the legislative framework governing the free zones and the OECD standards, as well as the EU code of conduct.